Employers who fail to notify the Labour Department of a work accident, or who dismiss an injured employee before the issuance of a compensation assessment certificate are liable to prosecution under the Employees' Compensation Ordinance.

The Labour Department issued the warning after a logistics company was fined $10,000 at Tsuen Wan Magistrates' Court.

The employer dismissed an injured employee before the Commissioner for Labour issued a certificate of compensation assessment. He also failed to report the accident to the department.

Under the ordinance, an employer must not, without the consent of the commissioner, terminate the contract of an employee who has suffered incapacity in circumstances which entitle him to compensation before the commissioner or an assessment board has issued a compensation assessment certificate.

The maximum penalty for contravening this provision is a fine of $100,000.

The ordinance also requires employers to notify the commissioner of any accident which results in the total or partial incapacity of an employee not later than 14 days after the accident.

Employers who, without reasonable excuse, fail to give notice are liable to a fine of $50,000.